ExxonMobil to divest stake in deepwater Gulf of Mexico Ursa-Princess development

ExxonMobil Corp. has agreed to divest its 15.9% interest in the Shell Offshore Inc.-operated Ursa and Princess oil assets in the deepwater Gulf of Mexico.

Esperanza Capital Partners and Andros Capital Partners LLC signed a definitive purchase agreement to acquire the assets as a joint venture focused on the acquisition and development of upstream and infrastructure assets in the deepwater Gulf of Mexico.

Ursa, which began production in 1999, lies about 130 miles southeast of New Orleans, La., and encompasses Mississippi Canyon Federal OCS Blocks 765, 766, 808, 809, 810, 852, 853, and 854.

The Princess development is a northern subsalt extension of Ursa field. It was discovered in 2000, and first production was achieved in 2002 via an extended-reach well from the Shell-operated Ursa tension leg platform (TLP). A three-well subsea tieback to the Ursa TLP was completed in 2005. Additional subsea wells have since been tied back, including water-injector wells.

The acquisition by Esperanza Capital Partners and Andros Capital Partners includes current production of about 8,500 boe/d (82% oil) net to ExxonMobil’s interest as well as associated infrastructure.

Upon closing, Esperanza (15.96%) joins other non-operated working interest partners BP Exploration & Production Inc. (22.69%) and ConocoPhillips (15.96%).